Multiple-USB-MIDI-Bridge-Overpass - Audiofanzine

PCAOB Release No. 104-2011-114Inspection of Medina, Zaldivar, Paredes & AsociadosSociedad Civil de Responsabilidad LimitadaMarch 31, 2011Page 3Board inspections are designed to identify and address weaknesses anddeficiencies related to how a firm conducts audit work. 6/ To achieve that goal, Boardinspections include reviews of certain aspects of selected audit work performed by thefirm and reviews of other matters related to the firm's quality control system.In the course of reviewing aspects of selected audit work, an inspection mayidentify ways in which particular audit work is deficient, including failures by the firm toidentify, or to address appropriately, departures from U.S. Generally AcceptedAccounting Principles ("GAAP"), or, as applicable, International Financial ReportingStandards as issued by the International Accounting Standards Board ("IFRS"). 7/ It isnot the purpose of an inspection, however, to review all of a firm's audit work or toidentify every respect in which an audit performed by the firm, or in which the firmplayed a role, is deficient. Accordingly, a Board inspection report should not beunderstood to provide any assurance that the firm's audit work, or the relevant issuerfinancial statements, are free of any deficiencies not specifically described in aninspection report.A. Review of Audit EngagementsThe inspection procedures included a review of aspects of the Firm's auditing ofthe financial statements of two issuer audit clients and the Firm's audit work on oneother issuer audit engagement in which it played a role but was not the principal auditor.The scope of this review was determined according to the Board's criteria, and the Firmwas not allowed an opportunity to limit or influence the scope. This review did notidentify any audit performance issues that, in the inspection team's view, resulted in theaudits, if any, in which the Firm plays a substantial role as defined in PCAOB Rule1001(p)(ii).6/This focus necessarily carries through to reports on inspections and,accordingly, Board inspection reports are not intended to serve as balanced reportcards or overall rating tools.7/When it comes to the Board's attention that an issuer's financialstatements appear not to present fairly, in a material respect, the financial position,results of operations, or cash flows of the issuer in conformity with GAAP or IFRS, theBoard's practice is to report that information to the SEC, which has jurisdiction todetermine proper accounting in issuers' financial statements.